Finance

A constant spread is an option-adjusted spread (OAS) that is applied to the prevailing interest rates to discount cash flows. It lets investors equate the…

Option adjusted spread (OAS) is a flat spread that has to be applied to the treasury curve in order to make the potential interest rate…

An embedded option is a financial security provision (typically in bonds) that gives a certain right to an issuer or holder of a security, but…

A variable rate demand note (VRDN) is a drawn-out gliding rate instrument; it is an obligation instrument that addresses acquired subsidizes that are payable on…

A registered representative (RR) is a person who works for a brokerage firm and acts as a representative for clients trading investment products such as…

The central limit theorem (CLT) in probability theory is a statistical principle that states that if the sample size is large enough, the sample means…

Backward integration refers to the phase in which a corporation purchases or develops segments of the supply chain internally. Backward integration, in other words, is…

A variable benefit plan is similar to a conventional DB plan (Defined Benefit Plan), except that the employers and not the sponsor of the plan…

Cash earnings per share (cash EPS), more generally referred to as operating cash flow, is a profitability ratio that compares the cash flow of a…

Share repurchase, also known as a share buyback or a stock buyback, is a process whereby a corporation buys back from the marketplace its own…

When the buyers buy securities from the seller in return for cash and agree to reverse the deal on a given date, a repurchase agreement,…

Absorption rate, a term widely used in real estate, is the rate at which, over a period of time, homes sell in an area. It…